UK Takeover Panel Extends Deadline for EQT's £9.4 Billion Intertek Acquisition
Overview of the Intertek-EQT Acquisition Deal
June 11 (Reuters) - British product testing firm Intertek said on Thursday the UK takeover panel has extended a deadline to June 18 for the £9.4-billion ($12.6 billion) bid by Swedish private equity firm EQT AB.
Intertek has been one of the much sought-after targets among a growing list of British firms approached by private equity firms, as their relatively lower valuations have made them attractive buyout targets.
Key Details of the Acquisition Talks
Here are some details on the deal talks:
Offer History and Valuation
• Intertek said last month it was ready to recommend the £60 per-share in cash takeover proposal if an offer was to be tabled by EQT. It had earlier rejected three proposals on valuation concerns.
Premium and Market Impact
• The fourth proposal is at a 40% premium to Intertek's closing price on April 15, the day before EQT made its first approach public.
Significance in UK Private Equity Landscape
• The deal would be Britain's third-largest private equity takeover ever behind the acquisitions of British airports operator BAA Plc in 2006 and pharmacy chain owner Alliance Boots in 2007, according to LSEG data.
Intertek’s Strategic Position
• Intertek, which helps companies ensure their products, operations and supply chains meet quality, safety and sustainability standards, had previously outlined plans to explore a split of its two businesses to drive growth and boost shareholder returns.
Additional Information
($1 = 0.7475 pounds)
(Reporting by Yamini Kalia, Ankita Bora, Prerna Bedi and Simone Lobo in Bengaluru; Editing by Subhranshu Sahu)
